Housing Sales for Reno,Washoe County NV : 3rd quarter 2007

The clouds are still cloudy & stormy  for the Reno-Sparks real estate market.   

New homes  took a bigger beating compared to  existing homes-2nd quarter of 2007 VS 3rd quarter 2007.  New home sales are down  -31.2% while existing home sales dropped -17.4%. 

Builders are known to sell standing inventory at no profit or even at a loss if they really have to; cutting their losses short.  This is a strategy, in my opinion, should be adapted by home sellers who are directly competing with new homes.  Many times our pride & ego get in the way instead of learning to accept our mistakes-whether you bought at a bad time(top of the market) or made the mistake in 2006 or even early 2007 of saying to yourself that the market will bottom by the end of the year or 2008 at the most.

I am not saying that this strategy is for everybody. But it is certainly worth looking at if you no longer can afford paying the mortgage for the next one or two years.  Consider taking a  possible loss (pricing your home in the top 3 in the neighborhood and top 3 in overall condition) as early as now (study your finances rigorously) rather than leaning on the hope that everything will be alright in a year or two.

The market is fiercely objective regardless of how it will affect us.  Our job is to 'flow' with the market , let it tell you what to do.  Sure you may get some advice from friends and relatives (even agents like us) but ultimately it should be the market that's going to have the final say.  That's smart investing.

Call Joe (775-338-7653) or Ian(775-338-7649) if you need more in depth analysis of the market.  We would be glad to supply you with information regarding the market.

source: Washoe County assessor